Starting Five #3 Wrap-Up
We highlight all of the stock picks made by five investors during the virtual conference...
Below you can view the entire event and clips of all the stock pitches mentioned during the conference. Here are the main themes;
Global Defense Play
Remote Monitoring Global Growth Pick
Play on Asset Liquidation
Precision Medicine Pick; Huge InfoArb Of Hard To Find Contract
Subsea Turnaround Bet (Maj also owns)
The investors that pitched were a great mix with diverse backgrounds, from fund managers to business operators.
Sam Namiri
Twitter: @SNamiri
Website: www.RidgewoodInvestments.com
Biography: Raised in Santa Monica, he credits a high school acquaintance for introducing him to microcap investing.
After high school, Sam attended UC Berkeley, where he studied engineering but always had an interest in business. During college, he started a jewelry business, initially selling online and on eBay. Now a Portfolio Manager for Ridgewood Investments.
Investment Strategy: After evaluating the business's quality through his in-depth checklist, Sam shifts his attention to the growth potential. He looks for companies with a substantial runway for growth, aiming for investments that have the potential to multiply in value, whether that's achieving a 10x return in five years or a more modest but consistent 20% annual growth. Sam also highlights his preference for valuing companies based on metrics like EBITDA multiples or, ideally, actual free cash flow. He stresses the importance of understanding whether a company's reported earnings translate into real cash that can be reinvested, distributed as dividends, or used for share buybacks.
Jason Hirschman
Twitter: @EightTrack180
Website: www.Hudson215Capital.com
Biography: Jason Hirschman is the managing partner of Hudson 215 Capital, a family office based out of Las Vegas. He works with his wife Cagla and eldest son, Ebin. Jason is a full-time investor who has been investing for 30 years and also managed his family small business for over two decades.
Investment Strategy: Non-resource microcap and small caps located in United States, Canada, and Europe (particularly the Nordics).
Sean Westropp
Twitter: @DeepSailCapital
Website: www.DeepSailCapital.com
Biography: Before founding Deep Sail Capital, Sean Westropp spent 10 years managing Westropp Funds LP, an incubator fund focused on innovative investment strategies. Sean holds an MBA from the University of Chicago Booth School of Business, where he specialized in Analytical Finance and Econometrics, as well as a degree in Chemical Engineering from Purdue University. Over the past decade, Sean has been an active contributor to several investment blogs, publishing research on individual investment theses and conducting in-depth industry analyses.
Investment Strategy: The fund focuses on four key pillars for identifying exceptional investments:
High-quality business models with strong gross profit and sticky revenue streams.
Outstanding, trustworthy management with a clear growth vision.
Substantial long-term growth potential, aiming for sustainable performance over 5-15 years.
Reasonable valuations, ensuring investments are grounded in financial soundness.
Sebastian Krog
Twitter: @SebKrog
Website: www.treasure-hunting.co
Biography: Sebastian Krog, a 26-year-old entrepreneur, balances running a marketing agency with his passion for microcap stock investing. Introduced to investing at 16, he initially followed conventional wisdom, investing in ETFs. However, realizing its limited impact, he paused investing to focus on entrepreneurship and education.
With his business stable post-COVID, he resumed investing, delving deeper into micro caps. Now, years later, he shares his insights and experiences in the stock market, combining his entrepreneurial journey with his investment endeavors.
Investment Strategy: Sebastian mostly looks at companies that look ugly in the rear-view mirror, but good through the windshield.
Maj Soueidan
Twitter: @majgeoinvesting, @GeoInvesting, @MSMicrocaps
Website: www.GeoInvesting.com & www.MSMicrocaps.com
Biography: Maj is an investor with 30+ years of experience with investing. He quickly found a niche in the microcap space. He then founded GeoInvesting in 2007 as a way to share his and his team’s research with other investors. With GeoInvesting, he also explored the short-selling side of investing, which improved his risk management skills. He later founded MS Microcaps in 2020 and launched the Microcap Investing Cliff Note Substack in 2022. The next leg of his journey is building investing tools for the everyday investor.
Investment Strategy: Maj’s core strategy revolves around information arbitrage. Finding material information before the broader market realizes what is going on. In the microcap space this means reading press releases, conference call transcripts and SEC filings to try and find the hidden nugget. His strategy focuses on investing in undervalued quality companies, based on a checklist, when they are multibagger markers.